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Surprising AI Recruitment Statistics

With the rise in automated recruiting, hiring new employees can now be made easier, faster and more efficient. Artificial Intelligence (AI) can improve the recruitment process in several ways. From lowering sourcing costs to improving the quality of a hire, automated recruiting can increase recruiter productivity and improve the candidate’s experience. A look at these statistics will show you how AI is changing the hiring process.

Sourcing Costs and Quality of Hire

  • 41% of employers estimated a single bad hire costs $25K, and 25% put the figure at $50K or more. (Source)
  • Compared to active applicants, sourced candidates are more than 2x as efficient to hire. (Source)
  • 31% of all hires are proactively sourced. (Source)
  • Organizations that invest in employer branding are 3X more likely to make a quality hire. (Source)
  • There is a 35% higher cost when the recruitment process is not automated. (Source)
  • 87% of employees worldwide are not engaged at work. (Source)
  • With unemployment at 4%, employee referrals are growing ever more important for a sustainable recruiting landscape. (Source)
  • 40% of new hires are generated from employee referrals. (Source)
  • There is a 10-year record high voluntary quit rate of 62%. (Source)
  • There is a 10-year record low unemployment of 3.7%. (Source)

The cost of a bad hire can put a damper on your company and take a toll on your recruiters. To ensure your business is making quality hires, it is important for recruiters to be productive. Automated recruiting can shorten the amount of time it takes recruiters to make a hire.

Is your company looking to shorten the hiring process and improve the overall candidate experience? Find out how the @ApplywithAllyO #AI recruiter can accomplish this: Click To Tweet

Recruiter Productivity

  • The interview process takes an average of 22.9 days. (Source)
  • It takes five to six weeks on average to get a job offer. (Source)
  • 45% think hiring managers are in the best position to increase diversity. (Source)
  • Recruiters take an average of 6 seconds to scan a resume. (Source)
  • 41% of U.S. employers plan to use text messages to schedule job interviews. (Source)
  • 56% of recruiters said they can’t make good hires because of lengthy hiring procedures. (Source)
  • More than 80% of a recruiter’s time is spent on low value-add activities. (Source)
  • Automated recruiting saves an average of 2 days per week of recruiter time. (Source)
  • 92% of early career talent owns a smartphone. (Source)

With your recruiters performing at their highest productivity level, due to their minuscule tasks being taken care of through an automated recruiting software, they can now focus on bigger and more important responsibilities in the recruitment process. Tons of companies already use automated software, and they all agree it improves the hiring process.   

Automated Recruiting

  • 75% of hiring and talent managers use either applicant tracking or recruiting software to improve their hiring process. (Source)
  • 94% of hiring and talent managers who use recruiting software say it has improved their hiring process. (Source)
  • Only 5% of hiring and talent managers say recruiting software has had a negative effect on their organization. (Source)
  • 73% of respondents rated Digital HR as an important trend. (Source)
  • An ATS can successfully filter 75% of the applicants. (Source)
  • 60% of medium-sized companies use an ATS. (Source)
  • It takes an average of 17 minutes to apply “manually” but with automation, it takes an average of 3 minutes. (Source)
  • With automated recruiting, there is 94% more application completion. (Source)
  • 92% of candidates are satisfied with automated recruiting. (Source)
  • Less than 5% of applications require human help. (Source)
  • 100% of applications are served when put through an automated recruiting software. (Source)
  • Automated recruiting increases your interviewable applicant pool by 6X. (Source)
  • Automated recruiting allows companies to engage with 100% of candidates. (Source)
  • Automated recruiting saves an average of 15 minutes of manual work on each applicant, speeding up recruiting and lowering costs significantly. (Source)
  • 96% of recruiters believe AI can greatly enhance acquisition and retention (Source)
  • 13% of HR managers already see evidence of AI becoming a regular part of HR (Source)
  • 55% of HR managers see evidence of AI becoming a regular part of HR within the next five years (Source)
  • 98% of Fortune 500 companies and a growing number of small and mid-sized businesses filter resumes through an applicant tracking system (ATS) before someone takes a look (Source)
  • 98% of Fortune 500 companies use an ATS. (Source)
  • An estimated 66% of large companies and 35% of small organizations rely on recruitment software (Source)
  • 77% of recruiters said they needed an ATS or CRM to do their jobs effectively (Source)
  • 48% of all placements came from ATS candidate (Source)
  • 91% of North American companies with 10 or more employees already have CRM systems in place. (Source)
  • Forbes estimated that the worldwide recruiting market was worth about $200 billion in 2017 (Source)
  • The global market for corporate recruiting software is predicted to reach $2.7 billion by 2022 (Source)

Before implementing an automated recruiting software, a company needs to consider other relatable statistics. One way this can be done is by looking into how often job seekers complete an application and how their talent profiles, such as LinkedIn, are filled out.

Application and Talent Profile Completion Rate

  • 60% of job seekers report they have quit an application due to its length or complexity. (Source)
  • 72% of hiring managers say they provide clear job descriptions, while only 36% of candidates agree. (Source)
  • 76% of job seekers want to know how long it’s going to take to fill out an application before they start. (Source)
  • On average, each corporate job offer attracts 250 resumes. Of those candidates, 4 to 6 will get called for an interview, and only 1 will get the job. (Source)
  • 87% of recruiters use LinkedIn to check candidates. (Source)
  • More than 60% of job seekers quit in the middle of filling out online applications. (Source)
  • 70% of applicants feel their resume goes into a black hole. (Source)

Automated recruiting makes it easier for candidates to complete the entire application process. Now, does the ideal candidate even exist? The talent market is large, but employers agree sometimes the perfect person isn’t out there, and if they are, they’re already working somewhere else. Get to the applicant you want faster with automated recruiting.

The Talent Market and Qualified Candidates

  • 65% of recruiters claim talent shortage is the biggest challenge in hiring. (Source)
  • 40% of global employers report talent shortages. (Source)
  • 72% of CEOs are concerned about the availability of key skills. (Source)
  • The best performers are 4X as productive as average performers. (Source)
  • 86% of the most qualified candidates for your open positions are already employed and not actively seeking a new job. (Source)
  • Less than 10% of applicants that apply are qualified for the role. (Source)
  • By 2020, the early career talent generation will make up nearly 50% of the workforce. (Source)

Hopefully, your company is able to find the perfect fit for the position. After finding that person, it is important to ensure they have a good experience with the whole hiring process, so they will 100% want to be a part of your workforce. Automated recruiting software can assure the hiring process accomplishes that.

#AI is changing the hiring process. Look at how @ApplywithAllyO’s automated recruiting software can maximize sourcing budgets and help find more qualified candidates: Click To Tweet

Candidate Experience

  • 80% of people would take one job over another based on personal relationships formed during the interview process. (Source)
  • 80–90% of talent say a positive or negative interview experience can change their mind about a role or company. (Source)
  • 80% of job seekers say they wouldn’t reapply to a company that didn’t notify them of their application status. (Source)
  • 78% of job seekers report never having been asked for feedback on their candidate experience. (Source)
  • Organizations that invest in a strong candidate experience improve their quality of hires by 70%. (Source)
  • Less than 20% of applicants receive a response to their job application. (Source)
  • Less than 15% of candidates rate their experience as positive. (Source)

If your company is looking for ways to make the hiring process easier, faster and more efficient, implementing an automated recruiting software is the way to go. An AI recruiter shortens the amount of time it takes to make a hire and improves the overall candidate experience. Automated recruiting is able to sort through the talent pool and give your company valuable insights to help find more qualified candidates. AllyO has it all, end to end. Make a change in your hiring process.

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